Tomahawk, WI 7/26/12 (StreetBeat) – Zynga (Nasdaq: ZNGA) is having a terrible pre-market day this morning down more than 40 percent at $3.04 per share on volume of more than 4.5 million shares, as I write.
Many analysts slashed their ratings and price targets after Facebook (Nasdaq: FB) changed the way users find games on its platform. They essentially made it harder to find older games like “FarmVille” and “Hidden Chronicles” that Zynga relies on heavily to keep its social media ship afloat.
Zynga is down more than 60 percent since March and has a range between $4.45 and $15.91 per share. Market cap is $3.75 billion and Zynga averages just fewer than 24 million shares traded per day.
This doesn’t look pretty for Facebook, who is slated to report its second quarter earnings after the market close today.